Active discussions

Meet the Other Phone. Flexible and made to last.

Meet the Other Phone.
Flexible and made to last.

Buy now

Please or to access all these features

Talk
Property/DIY

Join our Property forum for renovation, DIY, and house selling advice.

Original poster

Any accidental landlords around? Small 1 bed flat.

54 replies

DeeplyMovingExperience · 09/12/2020 19:30

I'm in a real quandary about whether or not to become an accidental landlord, renting out a 1 bed flat. I've heard so many horror stories, but surely there must be an upside somewhere? I have no intention of becoming a property mogul so it would only ever be my little flat.

Anyone with good experience or any tips? I need to make up my mind and stop sitting on the fence.

OP posts:
prunetang · 09/12/2020 19:59

Not currently, but about 5 years ago we were accidental landlords so to speak. Honestly? I'd never, ever do it again. Everything was done absolutely by the book, had all the tenant checks, affordability checks, references, the lot and still ended up with a tenant who stopped paying rent on time, not in full amounts or not at all. Then left the place in such a state that it needed totally renovating when we did get them out. It left me all but ruined financially and was a source of constant and never ending stress for a year. Then more stress for a further 2 years with bailiffs turning up weekly at the property looking for them.

If you get a good, easy tenant you're fine, but having been there and done it, if I could have the time again i'd just sell and have the lump sum in my pocket.

daisyphase · 09/12/2020 20:06

No, I'm afraid that there used to be upside, but there isn't any longer. You are vulnerable as PP has said above, you won't make money, you'll be on call 365 days a year, you'll have unlimited responsibility in terms of fixing things even if they don't pay their rent. Please don't.

parietal · 09/12/2020 20:08

do you live nearby and have the time & energy to manage the property? or are you going to pay an agent to do it for you? If the latter, check out the agents carefully & read reviews of them etc. They can be very variable in quality.

Dragongirl10 · 09/12/2020 20:10

Please don't op it is near impossible to make any profit, and the risks are huge.

Smallbus1 · 09/12/2020 20:11

We became accidental landlords at the start of the year. I wouldn’t do it again if I could avoid it. We pay the agents to manage the property. Recently numerous complaints have been made about our tenant for smoking weed in our flat and we can’t evict him...

Plonque · 09/12/2020 20:13

My tenants are good so far, they are not the types to ring up about a blown lightbulb for instance. The only contact I've had with them is annually, to arrange the gas certificate and I do the walk round at the same time. They pay their money on time and the house is well looked after.
I'm well aware that I'm lucky!

Original poster
DeeplyMovingExperience · 09/12/2020 20:16

It just seems so pointless to sell it to put money in the bank which will attracted sod all interest. And it's such a nice place in a good location. Maybe I just have romantic ideas about moving back into it in years to come.

OP posts:
opinionatedfreak · 09/12/2020 20:16

Done it a couple of times - it isn't easy.

One set of tenants were initially hard work and insisted maintenance people went round initially a lot for things that weren't broken e.g. shower water pressure, combi boiler not being able to fill a boiling hot bath in 2 minutes.

The checks etc. now are really onerous.

If you do it get landlord insurance.

finsorfeathers · 09/12/2020 20:17

We moved away for DP's work 14 years ago and have been renting out our 1 bed flat since. Never had any issues with tenants. But I have always chosen them myself. Am very fussy. I did have a managing agent once to manage the place but now I just book them a plumber/electrician/whatever myself. Means I can make the rent lower so I can get more choice over the tenants I have. Single professional female has been my favourite but couples have also been good. Currently I have a couple with a cat, they are lovely.

Dazedandconfused10 · 09/12/2020 20:18

You are choosing to become a landlord. Nothing accidental about it. If that's a business you want to run do it, but are you clued up on the law and the requirements?

Plonque · 09/12/2020 20:19

My advice would absolutely be to not leave any appliances in there for them to use, even if it's a case of "it's only going in the skip if you don't want it" - my in laws did that. They had a fridge freezer that was left by the previous people. It was no use to in-laws so they let new tenants have it as they'd only have to get it taken away and thought they'd do the new tenants a favour by letting them have it. Well as expected it went kaput after a few months and they were forced to supply a new one to replace it cos it was supplied with the house.

Elpheba · 09/12/2020 20:21

I think this is one of those things where people often have something to say if they’ve experienced bad bits. @finsorfeathers approach sounds very wise- being super fussy and picky about your tenant can only be positive and it is probably worth managing it yourself if you can to maximise what profits you can make. It must be worth while as so many people do it??

jessstan1 · 09/12/2020 20:22

I suppose I am, I inherited a modern flat in a purpose built, small block with parking. pleasant area, but when it didn't sell quickly the estate agent suggested I let it furnished, which I have.

Since tenants moved in at the end of September I have had to replace both the dishwasher and the washing machine and pay for repairs to the ceiling of the flat downstairs which had damage from the dishwasher leaking :-); also something wrong with a light fitting. It never rains but it pours.

Hopefully - all done now and I can relax.

Ragwort · 09/12/2020 20:23

We rent out a small flat, we do use a managing agent. I hope we are reasonable landlords, no rent increase for five years, always ensure repairs/replacements are done promptly. Checked during lockdown in case tenants were furloughed and would have reduced rent accordingly.

Plonque · 09/12/2020 20:24

I think my in laws have possibly had my share of bad luck, tenants wise.
The person that's in their house now viewed the house twice, agreed everything was fine and moved in, then got all arsey because the carpets were worn a bit in places and basically went round and "snagged" it like it was a new build or something, not the Victorian terrace that it actually is - everything is just like it had been when they viewed it and what the inventory says it was like.

CodenameVillanelle · 09/12/2020 20:25

'Accidental landlord' is a term coined in the late 2000s when property prices dropped and people who needed to move had to to rent out their homes to avoid negative equity. That doesn't apply now. If you choose to rent out your property it will be a deliberate business decision, not any kind of accident.
People use the term to absolve themselves from needing to know the law and their obligations IME. Don't do that.

Polyxena · 09/12/2020 20:28

This reply has been deleted

Message withdrawn at poster's request.

Coolerthanapolarbearstoenails · 09/12/2020 20:32

I've done it and it was fine. Slight agro getting it "ready" but I never had an issue with tenants.

prunetang · 09/12/2020 20:32

It just seems so pointless to sell it to put money in the bank which will attracted sod all interest.

Money in the bank is better than money spent in courts fighting to get them out, on repairs or renovations though. From the outside it seems like a no brainer, having someone pay you to use something you aren't using, but it isn't that simple sadly.

It doesn't always turn sour of course, but you can do every single thing right and by the book and do everything you're legally and morally supposed to do, you can have all the advised checks and good references and you can meet them in person and vet them (as we did) and still get screwed over. It is a big gamble for not a lot of money in return these days. Even in areas that attract high rents.

Ultimately it's your choice but there is a reason why you hear so many horror stories- because there are a lot of horror stories.

Original poster
DeeplyMovingExperience · 09/12/2020 20:35

Previous posters are right about the mis-use of "accidental". I think green "unsuspecting" might be better. I tend to always think the best of people, and I believe I was a really good tenant when I rented. I'm trying to think of the future but I don't want to make a stupid decision.

Your comments are all very helpful.

OP posts:
daisyphase · 09/12/2020 20:35

I agree that money in the bank brings no interest, but you'd be better off with a basket of shares with any equity you have after selling your flat using ISA allowances where you can. You may make a few % in dividends, you may get a little capital appreciation. If you make any gains, there will be lower capital gains with shares than with property. If you put them in an ISA, no tax at all. More importantly, no babysitting your shares, no texts from your shares demanding replacement lightbulbs or BBQs, no cleaning up after your shares, your shares won't despise you for owning them and you can sell your shares when you want to with a flick of a switch.

Original poster
DeeplyMovingExperience · 09/12/2020 20:40

What about guarantors? I had to act as guarantor when one of my kids rented a flat. They wouldn't accept anyone who didn't have rock solid financial creds. Is that not how it usually works?

OP posts:
CodenameVillanelle · 09/12/2020 20:47

You'd still have to go to court to get the guarantor to pay the rent and that would cost you.

Polyxena · 09/12/2020 21:04

This reply has been deleted

Message withdrawn at poster's request.

MistletoeandMoccasins · 09/12/2020 21:12

Been there, done that. Used an agency who charged 15%.

  1. You will need to do tax returns
  2. You will need savings for when pipes burst etc
  3. You will need Landlord's and Liability Insurance
  4. You will need thorough knowledge of deposit funds, contracts, notice periods etc If you don't know any of it, use an agent
  5. Agents do do financial checks etc but they are not infallible
  6. Shelter and the Council will always tell a tenant to stay put if they cannot move or are behind with rent, and wait to be evicted. If they do not they have made themselves intentionally homeless.
  7. You now have to give six months, not two. This applies until at least next March.
  8. Your property needs to be efficiency rated at least E
  9. You need annual gas safety checks
10. iirc there have been changes to the mortgage interest being counted as a business expense

Did not make a profit in 12 years. Broke even, which was the plan, just so could keep hold of the property.
Tenant 1 - young love's dream, young couple, one parent as guarantor. Split up, broke a door pane, lasted just under a year. I had given them some appliances but made them buy them from me for a paltry five pounds and they were responsible for moving them.
Tenant 2 - family who allegedly left the house in such a state they lost all their deposit and was not contested. They also stole some shelves but agent neglected to tell me.
Tenant 3 - broke the no pets policy. Broke the oven. Very demanding. Had new boiler installed, new cooker, various other things to keep them happy. They left when pipes burst which was suspected to be down to not having heating on/set to a level to switch on if it got cold.
Tenant 4 - fine but left house with various issues and repairs needed which agency did not pick up on or dispute (wear and tear/they hadn't noticed or could not prove). A lot of things were not reported and/or agent themselves slow to deal with. Guarantor required on and off basis.

You have to let go of the idea of it being your home or somewhere you could return to and find the same - you have no idea who will be in and how they will treat the property.
For one property not a portfolio and having to find a decent agent, it is a huge ballache now and not something I would ever want to repeat.